Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, what assessment her Department has made of the potential impact of the (a) under-occupancy charge and (b) Local Housing Allowance on residents in almshouse accommodation who are in (i) low-paid and (ii) part-time employment.
We acknowledge the vital part that almshouses play in providing much needed low-cost affordable housing. Residents pay a weekly maintenance contribution which is usually much lower than the market rate, which can be paid for through Housing Benefit or Universal Credit.
It is the responsibility of the local authority to determine whether housing costs meet the definition to be paid for through Housing Benefit. This will depend on the type of landlord and whether the resident is being provided with care, support or supervision.
The level of housing support which the resident will receive is determined by whether the almshouse is privately owned or managed by a social landlord.
The Local Housing Allowance (LHA) applies to residents living in the private rented sector who are in receipt of Housing Benefit or Universal Credit. LHA determines the maximum housing support for tenants in the private rented sector. Households in similar circumstances living in the same area are entitled to the same maximum rent allowance, regardless of the contractual rent paid. LHA rates are not intended to cover all rents in all areas.
Claimants in receipt of housing support living in the social rented sector have their eligible rent paid in full, unless the level of housing support is reduced because of their income or savings, contributions from non-dependants, or limited by the benefit cap or the removal of the spare room subsidy (RSRS).
For those who require further support Discretionary Housing Payments (DHPs) are available from local authorities for low-income renters who face a shortfall in meeting their housing costs. From April 2026 DHPs for England will be incorporated into the Crisis and Resilience Fund (CRF).
DWP systems do not include almshouses as a specific residency type and therefore we cannot identify them in our data.